The £430 million extension of the Midland Metro tram system through Birmingham city centre and the Black Country has been backed by an independent panel of experts.

A detailed investigation concluded that the scheme was "robust and deliverable", the West Midlands Passenger Transport Authority CentroPTA said last night.

The panel's findings will now be sent to the Department for Transport. Independent scrutiny of all major transport projects was ordered by the Government after a critical report into the future of light rail projects by the Public Accounts Committee last year.

In the wake of plans for tram networks in Liverpool, Portsmouth and Leeds being refused Government funding, the committee of MPs said the DfT had not acted soon enough when problems started and costs rose.

Transport Minister Derek Twigg ordered large capital projects, such as the Metro extension, to undergo rigorous health checks to make sure they are fit to move forward.

Members of the panel reviewing plans for the Midland Metro included senior figures from project management, civil engineering and audit backgrounds involved in delivering international contracts.

They questioned members of the Centro-PTA team as well as project consultants and partners from Birmingham, Dudley and Sandwell councils.

Their report concluded that Centro-PTA had a strong approach to managing and dealing with the risks of such an ambitious and complex project and said the organisation should be congratulated for securing substantial external support and financial contribution.

Centro-PTA chairman Coun Gary Clarke (Con Walsall) said: "The fact that we passed with flying colours sends a clear message to the Secretary of State that we have a robust and deliverable project."

The Midland metro extensions are planned to run from Snow Hill station in Birmingham through the city centre to Five Ways and in the Black Country from Wednesbury to Dudley and Brierley Hill.

The extensions were given planning approval by the Secretary of State last year following two public inquiries.

Agreements have since been reached with developers and councils allowing an out-line business case to be submitted to Government. Provisional approval is expected by the end of the year.